According to the monitoring of business agency, this week (7.11-15), domestic adipic acid continued to decline, with a deeper decline, with a weekly decline of 6.19%. The market price range of adipic acid at the weekend is 10400-10600 yuan / ton. On the one hand, the upstream pure benzene was dragged down by crude oil, and continued to bottom, aggravating the negative cost side. In addition, the high inventory pressure in the early stage, the price reduction of the manufacturer’s inventory, the pressure on the market mentality, and the light market demand and other reasons.

In terms of market supply, the adipic acid operating rate this week was mainly flat compared with the previous week, and currently remains at about 65%. The pressure on manufacturers’ inventory gradually increased, and the prices of large manufacturers gradually lowered the listing price and collection price, with a range of more than 2000 yuan. In terms of commencement, some enterprises are mainly engaged in maintenance or load reduction production.

Adipic acid industry chain trend

The above figure shows that the adipic acid industrial chain is still relatively weak this week. The upstream products cyclohexanone and pure benzene all fell to varying degrees, but the decline was narrower than that at the beginning of the month. Adipic acid remained weak, and the focus of the transaction shifted significantly downward, indicating that the manufacturer’s profits were compressed. In addition, the downstream PA66 continued to be weak this week, the decline slowed down, and the terminal remained weak.

Market trend of pure benzene in the upstream of adipic acid

Market trend of cyclohexanone in the upstream of adipic acid

The support of upstream raw materials was insufficient, and the price of pure benzene fell again with the price of crude oil. According to the monitoring of business agency, the weekly decline of pure benzene was 2.70%. As the pressure of port inventory has been significantly relieved, it is currently in the process of decontamination; In addition, the downstream construction started to rise in July, which still supported the price of pure benzene. The overall supply side was tight, and the outlook was generally optimistic. Therefore, pure benzene resisted the decline compared with the downstream adipic acid, but the sharp decline in crude oil made the bearish effect of pure benzene obvious. Sinopec lowered its listing, and the pure benzene market was still suppressed. Cyclohexanone fell slightly, with a weekly decline of 1.0%.

Market trend of adipic acid downstream PA66

Terminal demand: the downstream performance of adipic acid is sluggish. Downstream procurement volume decreased. According to the monitoring of business agency, PA66 in the downstream of adipic acid rose or fell by 0. This week, the load level of domestic PA66 industry continued to fall in a narrow range, but the spot supply in the market is still abundant, and the supply pressure is difficult to solve. The inventory position of the port is acceptable, and the arrival volume of overseas goods is general. In terms of demand, at present, terminal enterprises take goods and follow up, preferring just to maintain production, and have strong resistance to high price supply. In the traditional off-season, the demand of downstream factories shrinks, the contradiction between supply and demand is prominent, and merchants have great resistance to shipping. The transaction on the floor fell, and the seller’s mentality was not good, so he gradually tried to reduce the yield order. In short, the weak downstream demand is the fundamental reason that restricts the rebound of adipic acid.

In the later stage, the business news agency believes that under the background of the Federal Reserve’s interest rate hike, the downward pressure on the upstream source crude oil increases, and the wide fluctuation in the later stage may continue to affect the downstream chemicals. From the perspective of supply, there are more adipic acid maintenance devices, but the accumulated inventory in the early stage is large, the market is gradually going away, and the demand is difficult to support the improvement of prices. It is expected that the adipic acid market will remain weak in the short term under the condition of continuous downturn in downstream demand.